Another very bearish day for NQ on Friday. The decline after the early morning rally was choppy because many traders were just using the decline to take profits on their short position at the end of the week.
NQ was dropping down to near a double-bottom support on the daily chart, a price level where many traders would start to buy the drop. After a consecutive 7-down days, NQ was also down to an oversold level on the daily chart.
When the market opens on Monday several factors will influence the trend for the market on Monday. The FOMC will meet on Tuesday and Wednesday and then announce their decision on Wednesday afternoon and many traders may want to wait for the decision to make their major moves.
If on the other hand, the Fed continue to bluff their way and not make any concrete plan to taper, then the stock market should rocket up, and gold should rocket up, and crypto should rocket up.
For Monday intraday inflection level will be at 14,580 zone, bullish above and bearish below it.
Friday low was at double-bottom with October 2020 low, and NQ was in oversold zone on the daily chart, likely to cause a 1 to 3 days bounce.
